The results of a review of
Vanguard’s retirement plan investors, released today, show men’s accounts averaged $123,262 while women’s accounts were $79,572; the median account balance for male participants was also substantially higher at $36,875 for men and $24,446 for women.

"It is important to note that the data reflects current labor market realities, and defined contributions plans are not driving this gender retirement gap," according to Jean Young, senior research analyst in the Vanguard Center for Retirement Research.

Despite these gender differences in savings rates, men’s and women’s portfolio returns were similar – with men earning a median 10.9% while women clocked in at 10.6%. Equity allocations were essentially the same -- both men and women typically had 73% t0 74% of their portfolio invested in stocks.

Women were also found to rely on professional management more than men, typically through target-date funds, whose stock-bond mix aims to reflect an appropriate asset allocation for when an investor intends to retire. About half of women chose professionally managed allocations; and 17% more women than men held a single target-date fund. This preference may reflect that many women lack confidence when it comes to investing and making financial decisions, as recent research shows.

But even though women in Vanguard's retirement plans are making sound financial choices – they are saving more than men – it's clearly not enough to overcome lower incomes.